Amid The News About The Reshuffle, Jokowi Is Optimistic That Indonesia's Economy Will Rise In 2021

President of the Republic of Indonesia, Joko Widodo. (Photo: Doc. Of the Presidential Secretariat)

JAKARTA - President Joko Widodo (Jokowi) believes that Indonesia's economy will gradually recover and return to normal in 2021. According to him, this is driven by several factors that accelerate domestic economic recovery in the next year, one of which is the establishment of the Indonesia Investment Authority (INA).

Jokowi said that efforts or policies in the health sector, namely the handling of the COVID-19 pandemic and the economic recovery that are starting to bear fruit will be the capital to drive the economy next year.

As is known, in the first quarter of 2020 the Indonesian economy could still grow positively by 2.79 percent. However, in the second quarter of 2020 due to COVID-19, the economy contracted sharply down to minus 5.32 percent. In the third quarter of 2020, Indonesia's economy was recorded to have improved even though it was still minus 3.49 percent.

"Consistently, the economic recovery policies that we are implementing have begun to show results with this trend of improvement. We hope that our economic situation, our economy will be better in the future and will improve," he said, in the 2021 Indonesia Economic Outlook Webinar, quoted from YouTube Economy. RI, Tuesday, December 22.

Jokowi said that in 2020 good policies will continue, especially in the health sector for handling COVID-19 and also providing social assistance to the people. In 2021, the government will also immediately provide free vaccines to all people and will start in early 2021.

Furthermore, Jokowi said that with the vaccination program, it is hoped that public confidence in handling COVID-19 will emerge and create a sense of security in the community. So that according to him, the economic recovery is expected to run more quickly.

"Consumption will increase and return to normal, investment is also expected to increase due to the Job Creation Law. By the end of 2020, our exports have started to seem to be recovering and of course this trend is expected to continue and increase in 2021. Moreover, we will also get GSP facilities from it again. America. Of course this will boost our export performance, "he explained.

As for the end of 2020, Indonesian exports have also begun to appear to be recovering. Therefore, Jokowi said, this trend is expected to continue and increase in 2021.

Moreover, said Jokowi, Indonesia also received another Generalized System of Preferences (GSP) facility from the United States. Of course, this will boost export performance next year.

"In early 2021, we will also launch a SWF called INA or Indonesia Investment Authority, which is a new source of development financing, which is not based on loans but in the form of equity or equity," he explained.

Furthermore, he explained, the establishment of an investment management institution would nourish the Indonesian economy as well as state-owned enterprises (BUMN), especially in the infrastructure and energy sectors.

Currently, according to Jokowi, several countries have expressed their interest in the investment management agency, including from the United States, Japan, the Arab Emirates, Saudi Arabia and Canada.

With several factors driving the economic recovery, Jokowi is confident that he will slowly revive the economy in 2021. He also invited all parties to move quickly to overcome the impact of the COVID-19 pandemic.

"In a pandemic situation like this, all of us must be able to move quickly, be able to strengthen cooperation and synergy. I am optimistic that we will revive our economy and return to normal," he said.